Year ended 31 December 2012
52
40 Share-based Compensation Plans
40.1 DBSH Share Ownership Scheme The DBSH Share Ownership Scheme is a fund set up
to hold units of DBSH ’s ordinary shares. All employees
based in Singapore with at least one year of service and
who hold the rank of Assistant Vice President and below are eligible.
Under the Scheme, participants and the Group contribute up to 10 and 5 of monthly base salary
respectively to buy units of DBSH ’s ordinary shares.
Amounts contributed by the Group under the Scheme are recognised as employee benefits when paid.
The Group Ordinary shares
Number Market value
millions 2012
2011 2012 2011
Balance at 1 January 5,933,584
5,473,697 68
78 Balance at 31 December
6,509,414 5,933,584
97 68
40.2 DBSH Share Option Plan Under the DBSH Share Option Plan the Option Plan,
options to subscribe for DBSH ’s ordinary shares may
be granted to Group executives who hold the rank of Vice President or equivalent and above and selected
employees below the rank of Vice President or equivalent.
The exercise price of the granted options is equal to the average of the last dealt prices for DBSH
’s shares, as determined by reference to the daily official list
published by the Singapore Exchange Securities Trading Ltd, for the three consecutive trading days
immediately preceding the date of the grant. These share options vest over a period in accordance
with a vesting schedule determined by the Compensation and Management Development
Committee Committee, and are exercisable after the first anniversary of the date of the grant up to the date
of expiration of the options. The fair value of options granted is determined using the Binomial model.
The DBSH Share Option Plan expired on 19 June 2009 and the Plan was neither extended nor replaced. The
termination of this Plan will, however, not affect the rights of holders of any outstanding existing options.
The following table sets out the fair value of the outstanding time-based awards and the movement during the year.
The Group 2012
2011 Unissued number
of ordinary shares under outstanding
options Weighted
average exercise
price Unissued number
of ordinary shares under outstanding
options Weighted
average exercise
price
Balance at 1 January
5,769,925 11.56
11,417,819 12.58
Movements during the year: - Exercised
2,104,176 11.69
1,667,402 11.38
- ForfeitedExpired 420,337
12.55 3,980,492
